US sanctions against the Serbian oil company NIS, which came into force today, threaten Croatian company JANAF - NIS's main partner in the transportation of crude oil - with severe financial consequences, “Forbes Croatia” reported. The company estimates that if the restrictive measures remain in place until the end of the year, its losses will exceed 18 million euros.
The Croatian state-owned operator of the Adriatic oil pipeline JANAF signed a multi-year contract with NIS last year to transport 10 million tons of crude oil until the end of 2026, with annual revenues from the cooperation amounting to about 40 million euros, the publication recalls.
“We hope that NIS will find a solution with the Americans and the Russians“, said the chairman of the board of directors of JANAF, Stepan Adanić, to Croatian National Radio.
The sanctions against NIS are part of the US package of measures against the Russian energy sector, as over 55 percent of the company's shares were held by “Gazprom“ and “Gazprom Neft“, recalls “Forbes Croatia“. Washington has postponed their implementation eight times since January – – most recently until October 8 – but no new extension has been granted. JANAF received a temporary license to complete current transportation activities until October 15.
NIS assured that sufficient reserves of crude oil and fuels have been ensured, and the supply to the market is stable. The company specified that in case of any problems with international payments, payments will be possible with local cards, in cash and through the “IPS show“ system.
NIS also stated that it continues the dialogue with the US Treasury Department on the request to remove from the SDN (Specially Designated Nationals, Washington's sanctions list - ed. note) list of sanctioned individuals and legal entities, submitted back in March, “Forbes Croatia“ indicates. Meanwhile, “Gazprom Neft“ reduced its stake in the company to 44 percent, trying to mitigate the effect of the sanctions.
According to experts, the prolonged effect of the sanctions could lead to difficulties in crude oil supplies to Serbia, an increase in fuel prices and problems with payment transactions, and the negative effect could also affect countries in the region.